ThinCats, a Leicester-based SME lender, has launched its new Generator product, a streamlined process for securing secured business loans between £100,000 and £500,000.
Currently, traditional lenders working within this space are using algorithms to make lending decisions leading to many creditworthy borrowers being rejected without an understanding to why they may have been rejected.
Generator backed lending decisions are informed by data but made by the regional Head of Credit who has an understanding of local businesses.
Working closely with corporate finance brokers, ThinCats began piloting the product earlier this year in three regions across the UK.
Damon Walford, Chief Development Officer at ThinCats, said: “Our priority is helping businesses grow and we are seeing a clear demand for loans worth up to £500,000. Unfortunately, many creditworthy SMEs are being let down by lending decisions made by algorithms that often fail to take into an account how the business works and their growth potential.
“The pilot scheme was successful so we now have the opportunity to serve an even wider market.
“Importantly, our lending decisions are informed by our data, but made by people on the ground, who know the region and who work closely with local corporate finance brokers. Businesses ultimately want a process that is clear, competitive and delivers funding quickly. Generator will help many SMEs who are currently let down by the wider market.”